Nonconformance Monitoring

Procedure

Implementation Date:

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 Nonconformance Monitoring Procedure

Revision History

Rev.
Date Summary of Revision
No.

0 First issue approved and authorized for use.

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Contents

Section Page No.

Approvals ...................................................................................................................................................................... 2
Revision History ........................................................................................................................................................... 3
Contents ....................................................................................................................................................................... .4
1.0 Purpose.......................................................................................................................................................... . 5
2.0 Scope............................................................................................................................................................... 5
3.0 References ...................................................................................................................................................... 5
4.0 Definitions and Abbreviations....................................................................................................................... 5
5.0 Responsibilities .............................................................................................................................................. 5
6.0 Procedure....................................................................................................................................................... . 5
6.1 Identification ...................... 5
6.2 Corrective Action
6.3 Cost Allocation ........................................... 6
.........
6.4 Performance Monitoring and NCR Analysis ............................................................................................... 7
7.0 Records.......................................................................................................................................................... .8
8.0 Appendix........................................................................................................................................................ .8

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1.0 Purpose

The purpose of this procedure is to describe the process on managing non-conforming items or
services.

It is also to identify, document and manage items that do not meet the agreed requirements and
prevent their inadvertent use as well as to identify improvement areas by recording and analyzing the
causes of not meeting the agreed requirements.

2.0 Scope

This document describes the procedure for monitoring, identifying and timely closure of
nonconformance.

This procedure applies to nonconforming products or services found by project staff / consultant.

3.0 References

Non-Conformance Report

4.0 Definitions and Abbreviations

NCR Nonconformance Report

Nonconformance Report A report detailing a nonconforming item of work with the

expectation that it will provide an explanation on the
resolution of the non-conformity and evidence that the
resolution has been completed.

Nonconformity Non-fulfillment of a specified requirement.

5.0 Responsibilities

The following personnel have responsibilities mentioned in this procedure:

Project Director
Project Quality Representative

6.0 Procedure

6.1 Identification

a) Where permanent or temporary works or materials do not meet agreed requirements, the
person who has identified the problems shall report the issue to the Project Quality
Representative. Together, they shall then decide how to correct the problem immediately if
possible.

b) If immediate correction is not possible, it is identified as non-conforming and segregated or

clearly marked as non-conforming. The details of the non-conformance, including the apparent

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cause, are recorded on Non-Conformance Report (NCR) by the person who discovered the
non conformance.

c) The form is then handed over to the Project Quality Representative for registration on Non-
Conformance Register.

6.2 Corrective Action

a) The Project Quality Representative in conjunction with the responsible person shall consider
proposals to correct the non-conformance and action required to prevent recurrence on the
form before concluding whether a Client Representative concession is required.

b) If a concession is required i.e. 'Use-As-Is', 'Repair' or 'Re-grade for use in alternative works'
proposal, the Client's Representative is notified of the intended action and approval
is requested.

c) When no concession is needed, the 'Reject' proposed action shall only be taken on the
authority of the Project Director.

d) If the proposals are not accepted by the Client when a concession is requested, then fresh
proposals are to be made or the matter is taken to the next tier of management for resolution.

e) The NCR status is tracked and monitored by the Project Quality Representative until the
actions have been completed.

f) The Manager responsible for the area affected by the Non Conformance ensures that action is
carried out in a timely manner, i.e. prior to the assigned date for completion, before
submitting the NCR for approval of the final action carried out, to the to the Client
Representative (when a concession is granted) or nominated internal Inspecting person (when no
concession is required).

g) When work has been inspected and accepted by the Client Representative or Inspecting Person,
the Project Quality Representative is responsible for recording close out, notifying relevant
parties and filing in accordance with the appropriate procedure for Control of Quality Records.

h) If inspected work is deemed unacceptable then the corrective action is reviewed and the process is
repeated until the actions taken are acceptable.

6.3 Cost Allocation

a) Upon close out of the NCR, the costs involved in rectifying the non-conformance are recorded on
the Quality Cost Report by the Manager responsible for the area affected by the Non Conformance
and for the purpose of Quality Costs reporting as required in Quality Costs Reports.

These costs relating to the NCR are derived as follows:

Cost elements Cost contributors Rate/data sources

Supply agreement/ Bill of
Labour costs Man-Hours
Quantities
Plant/equipment costs Hours Hire agreement
Supply agreement/
Material costs No./volume
Purchase Orders

b) On calculating the costs, the Manager responsible for the area affected by the Non-Conformance
forwards a copy of the Non-Conformance Report (NCR) to the Appointed Staff responsible for
tracking Quality Costs according to Quality Costs Report.
c) Details of NCRs and their resolutions are to be summarized on a monthly basis by the Project
Quality Representative and submitted to the management for analysis.

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6.4 Performance Monitoring and NCR Analysis

a) NCRs are analyzed on 4 levels:

i. Responsibility

Whether contractor or Subcontractor/Supplier/Designer is responsible for the

NCR

ii. Root Cause

Equipment/Facilities, e.g. faulty/unsuitable/inadequate equipment

Material, e.g. defective/unsuitable

Skills/Knowledge, lack of knowledge/poor workmanship/workers not following documented

procedure

Procedure/Method, documented method/procedure impractical/not suitable (note: workers

not following a procedure does not come under this category; corrective action normally
involves changing the document procedure)

iii. Work Activity

The type of activity affected by the non-conformance, e.g., concreting, earthworks, steel
work, etc.

iv. Disposition

Reject/Scrap, e.g., take out and re-do

Repair; action taken so that the affected product will fulfill the intended usage
requirements although it may not conform to the originally specified requirements.

Rework; action taken so that the affected product will meet the original specified
requirements.

Use As-Is, concession to the specification, with written authorization to use or release
the non-conforming product.

Re-grade for alternative use in works

b) The Non Conformances analyses are reviewed according to Management Review, which
identifies any trends and determines any improvements necessary for the Project
Management Systems.

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7.0 Records

Non-Conformance Report

Non-Conformance Report Register

Quality Costs Reports

8.0 Appendix

Appendix A- Raising and Review of NCR Summary Process

Appendix B- Sample of Non-Conformance Report Register

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Appendix
A

Raising and Closing out of

NCR Summary Process

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 Appendix B

Sample of Non-Conformance Reports Register

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